Non-Traded REIT Investment Loss Recovery
Procaccianti Hotel REIT Investors Seek To Recoup Their Money
If you invested in the Procaccianti Hotel REIT and suffered losses, please contact our Investment Loss Recovery Attorney team at Shepherd Smith Edwards and Kantas (investorlawyers.com) today so that we can help you explore your legal options. The publicly registered non-traded real estate investment trust (non-traded REIT) announced that it would be limiting investor redemptions and that such payments would be contingent upon the authorization of its board of directors.
Sponsored by Procaccianti Companies Inc., the Procaccianti Hotel REIT launched its initial public offering (IPO) in 2018 and raised $550 million. Now, its Board is saying it has arrived at the maximum limit for share redemptions that are allowed under its restated buyback plan. This restricts redemptions to 5% of the shares that are outstanding within the past 12 months.
As of the end of June, Procaccianti said its total assets were at about $112 million and it had about $65 million in outstanding mortgage debts. Secondary marketplace Central Trade and Transfer at one point listed Procaccianti Hotel REIT shares for $4.25/share, which is much lower than their original $10/share offering price.
Non-traded REITs are risky investments that tend to be illiquid and hard to redeem or resell. They are unsuitable for many investors, including retail investors, conservative retirees, and novice investors. Not only that, but these investments tend to pay brokers high commissions and fees for selling them to customers. This can sometimes end up being the incentive for recommending them to clients rather than because they were in the latter’s best interests or in line with their investing goals or risk tolerance profile.
If your broker unsuitably recommended Procaccianti Hotel REIT to you, failed to conduct the required due diligence into the investment, or overconcentrated your funds in this non-traded REIT and you have sustained significant investor losses, contact us to request your free, no-obligation case consultation.
Why You Should Speak With Our Skilled NInvestment Loss Recovery Attorney Teams
Pursuing damages for investment losses is always difficult, especially when a complex financial product is involved. Our Investment Loss Recovery Attorney team represents investors in suing the brokerage firms whose negligence or misconduct contributed to their portfolio losses.
For over 30 years we have been fighting for investors like you against brokerage firms in arbitration, mediation, and in court. We have represented clients in over 1000 matters and collectively secured many millions of dollars in settlements and awards for thousands. We know what is required to properly represent non-traded REIT investors against broker-dealers and investment advisers.
At Shepherd Smith Edwards and Kantas, we understand that losing money from an investment can lead to devastating consequences. When you work with us you are retaining one of the most well-respected securities law firms in the US that is known for the quality representation and personalized attention it provides to each client. More than 90% of investors have secured full or partial financial recovery with our help.
How To Contact The SSEK Investment Loss Recovery Attorney Team:
Call (800) 259-9010 today.